Location: Fort Worth-Arlington, TX | Metro: Fort Worth-Arlington, TX HUD Metro FMR Area
Based on 1% Rule: A+ (≥1.5%) | A (≥1.2%) | B (≥1.0%) | C (≥0.8%) | D (≥0.6%) | F (<0.6%)
| Unit Size | Monthly FMR |
|---|---|
| Studio | $1,350 |
| 1 Bedroom | $1,370 |
| 2 Bedrooms | $1,610 |
| 3 Bedrooms | $2,110 |
| 4 Bedrooms | $2,640 |
| 5 Bedrooms | $3,062 |
| 6 Bedrooms | $3,429 |
| 7 Bedrooms | $3,703 |
| 8 Bedrooms | $3,888 |
Zillow median home prices vs Section 8 FMR rates (Data: 2026-07-31)
| Bedrooms | Monthly FMR | Median Price | 1% Rule | Grade |
|---|---|---|---|---|
| 2BR | $1,610 | $196,211 | 0.82% | C |
| 3BR | $2,110 | $242,462 | 0.87% | C |
| 4BR | $2,640 | $289,766 | 0.91% | C |
U.S. Census Bureau data (2024)
A skeptical investor might question whether the Fair Market Rent (FMR) of $1,550 for ZIP 76134 in fiscal year 2024 will sufficiently cover the mortgage on a home valued at $250,220. This concern stems from the need to ensure that rental income meets or exceeds mortgage expenses. While the FMR does not guarantee coverage, it provides a benchmark. Assuming a standard 30-year fixed-rate mortgage with an interest rate of around 4%, the monthly mortgage payment for a home priced at $250,220 would be approximately $1,200. Thus, the FMR of $1,550 would indeed cover the mortgage, leaving some margin for other expenses such as maintenance and property taxes.
The investor could also be concerned about the level of renter demand in the area, which stands at 40.2%. This percentage indicates the proportion of households that are renters. Although 40.2% might seem low compared to higher-renter-demand areas, it suggests a steady pool of potential tenants. To put this into perspective, if the total number of households in ZIP 76134 is around 10,000, then approximately 4,020 households are renters. This demand can support a reasonable number of rental properties, especially considering the overall size and economic activity of Fort Worth, TX.
A final objection might be whether housing vouchers will keep pace with the market rents of $1,835. The Federal Housing Administration (FHA) voucher program aims to subsidize rents up to the FMR. With the FMR set at $1,550, vouchers may not fully cover the $1,835 market rents. However, landlords can negotiate with tenants to find a balance between the voucher amount and their rental expectations. Additionally, the voucher program often adjusts its limits based on economic conditions and local housing markets, so keeping an eye on updates to the program could mitigate this risk.
In summary, while the FMR of $1,550 should comfortably cover the mortgage on a home priced at $250,220, the 40.2% renter demand reflects a stable but not overwhelming market. Lastly, housing vouchers may not fully meet the $1,835 market rents, requiring landlords to be flexible and informed about program adjustments.
Data Sources: FMR data from HUD (2027). Median home prices from Zillow (2026-07-31). Demographics from U.S. Census (2024).
About FMR: Fair Market Rent (FMR) is used to determine payment standards for the Section 8 Housing Choice Voucher program, initial renewal rents for some expiring project-based Section 8 contracts, and rent ceilings for HOME Investment Partnerships.